Amazon Inventory Management

Dave Altshul
24 Apr 201602:17

Summary

TLDRThe Phoenix Arizona fulfillment center, spanning 1.2 million square feet, operates with a 'random stow' system to efficiently stock over 15 million items. With 2,000 employees and Kiva robots capable of lifting up to 3,000 pounds, Amazon optimizes picking with handheld scanners and algorithms. Products travel via conveyor belts to the 'slam' line, which checks weights and labels packages. The process culminates in a Tetris-like packing challenge, ensuring space-efficient shipping.

Takeaways

  • 🏭 The fulfillment center in Phoenix, Arizona is massive, spanning 1.2 million square feet, equivalent to 28 football fields.
  • 📦 Over 15 million items are stocked daily in this facility, with a seemingly chaotic arrangement of consumer goods.
  • 🔄 The storage process is called 'random stow,' where items are placed randomly, not necessarily next to the same items.
  • 👥 There are over 2,000 full-time employees who use handheld technology scanners to retrieve products and are directed to the most optimal next item to pick.
  • 🤖 Amazon's Kiva robots are incredibly strong, able to lift up to 750 pounds and up to 3,000 pounds for larger items.
  • 🔵 Products are transported in yellow boxes called 'totes' along eight miles of conveyor belts.
  • 🏷️ An advanced technology called the 'slam line' (shipping labeling and manifesting) checks the weight of items to ensure they match the expected weight before shipping.
  • 🚫 If an item's weight is off, the slam line diverts it for an associate to verify and correct the order.
  • 📦 Packages are then sent down metal chutes sorted by shipping preference, leading to a packing challenge akin to a game of Tetris, where workers pack items efficiently without wasting space.
  • 🌐 The fulfillment center's operations highlight Amazon's use of advanced technology and human labor to optimize the process of order fulfillment and shipping.

Q & A

  • What is the size of the fulfillment center in Phoenix, Arizona mentioned in the script?

    -The fulfillment center in Phoenix, Arizona is 1.2 million square feet, which is equivalent to the size of 28 football fields.

  • How many items are stocked in the Phoenix fulfillment center on a daily basis?

    -Over 15 million items are stocked in the facility every day.

  • What is the process called that is used to store items in the fulfillment center?

    -The process is called 'random storage', where items are placed in available spaces without necessarily being next to the same item.

  • What is the role of handheld technology scanners in the fulfillment center?

    -Handheld technology scanners alert associates where to retrieve the product in the fulfillment center.

  • How does the algorithm in the fulfillment center assist employees in picking items?

    -The algorithm directs employees to the most optimal next item to be picked, improving efficiency.

  • What are Amazon's busiest employees in the fulfillment center, and what is their strength equivalent to?

    -Amazon's busiest employees are the Kiva robots, whose strength is equivalent to an NFL linebacker.

  • What is the maximum weight that Kiva robots in the fulfillment center can lift?

    -Kiva robots can lift up to 750 pounds, and in centers handling larger items, they can lift up to 3,000 pounds.

  • What are the yellow boxes used for transporting products within the fulfillment center called?

    -The yellow boxes used for transporting products are called 'totes'.

  • What is the purpose of the 'slam line' in the fulfillment center?

    -The 'slam line', which stands for shipping labeling and manifesting, checks the weight of the products to ensure the correct item is being shipped.

  • How does the slam line detect if the wrong item is being shipped?

    -The slam line detects incorrect items by comparing the actual weight of the product to the expected weight in the computer system, and if there is a discrepancy, it sets the item aside for review.

  • What game is the script likening the packing process of the fulfillment center to?

    -The packing process is likened to a game of Tetris, where workers have to pack items tightly together without wasting space.

Outlines

plate

This section is available to paid users only. Please upgrade to access this part.

Upgrade Now

Mindmap

plate

This section is available to paid users only. Please upgrade to access this part.

Upgrade Now

Keywords

plate

This section is available to paid users only. Please upgrade to access this part.

Upgrade Now

Highlights

plate

This section is available to paid users only. Please upgrade to access this part.

Upgrade Now

Transcripts

plate

This section is available to paid users only. Please upgrade to access this part.

Upgrade Now
Rate This

5.0 / 5 (0 votes)

Related Tags
AmazonFulfillmentPhoenixAutomationRoboticsConveyor BeltsInventoryRetail TechE-commerceLogisticsWarehouse